- Hexima (HXL) has completed the bookbuild for a two-tranche placement to raise up to $10 million
- The clinical stage biotech stock will issue up to 31.25 million shares to institutional and sophisticated investors at 32 cents per share
- In addition, a further $1 million will be raised through a share purchase plan which will be open from November 8 to November 22
- Hexima plans to use the money to support its development plans for a potential prescription topical treatment in the US and international markets
- Company shares end the day trading 1.35 per cent higher at 37.5 cents
Hexima (HXL) has completed the bookbuild for a placement to raise up to $10 million.
The clinical-stage biotech company flagged its plans to raise capital when it entered a trading halt on October 28.
In total, 31.25 million shares will be issued to institutional and sophisticated investors across two tranches.
The first tranche comprises the issue of 19.6 million shares and the second tranche, which is subject to shareholder approval, includes 11.65 million new shares. The shares are priced at 32 cents, which represents a 14.6 per cent discount to the 15-day volume-weighted average price.
Tranche one shares are expected to be issued on November 5 and the tranche two shares, should shareholders approve, will be issued on December 9.
Hexima will use the money raised to accelerate its plans in the US and other international markets.
Managing Director and CEO Michael Aldridge commented on the placement and development plans.
“We remain on track to deliver results from our ongoing phase 2b clinical trial in the second quarter of 2022,” he said.
“This capital will accelerate our development plans for pezadeftide into the US and international markets, allowing us to immediately initiate preparations for our phase three trials, which we expect to commence in Q4 2022, and potentially adds another development program to our pipeline.”
In addition to the placement, Hexima will launch a share purchase plan (SPP) to raise $1 million. Eligible shareholders may apply for up to $30,000 worth of shares at the same issue price as the placement.
The SPP will be open from November 8 until November 22 and the new shares are expected to be allocated on November 26 and commence trading on the following Monday.
Company shares ended the day trading 1.35 per cent higher at 37.5 cents.